MakeMyTrip, a prominent travel platform listed on NASDAQ, is considering an initial public offering (IPO) for its India operations. This move aims to access domestic capital markets and strengthen the company’s presence in the Indian market. This is MakeMyTrip’s second attempt to list in India in the last five years.
The decision to pursue an IPO in India coincides with a significant decrease in MakeMyTrip’s market capitalization, from $10 billion to $4.5 billion over the past six months. Industry analysts attribute this decline to subdued demand in specific travel segments and broader challenges within the sector, resulting in MakeMyTrip falling short of revenue projections and witnessing a 52-week low in its stock price.
MakeMyTrip is considering a potential listing of MakeMyTrip India, the entity overseeing its key brands and operations in the country. Following an internal restructuring that involved merging RedBus India into MakeMyTrip (India) Private Limited, the company consolidated its primary India businesses under a unified entity.
In a broader update, MakeMyTrip reiterated its commitment to leading India’s travel market through strategic investments, acquisitions, and technological enhancements. By exploring an India listing, the company aims to leverage Indian-listed equity for future growth initiatives, building on recent developments such as acquiring a majority stake in Flamingo Transworld and making a strategic minority investment in Atlys, a visa processing platform, to expand its travel ecosystem.
Source: Entrackr : Latest Posts